As the new financial year 2025-26 begins, banks across India, including major institutions like the State Bank of India (SBI) and HDFC Bank, will observe a holiday on Tuesday, April 1, 2025. This closure, mandated by the Reserve Bank of India (RBI), is part of an annual tradition tied to the closing of accounts for the previous financial year (2024-25). The RBI’s holiday calendar, released at the start of each year, outlines such closures, ensuring that banks can finalize their financial records seamlessly.
The April 1 holiday is primarily observed for the "closing of accounts," a critical process where banks reconcile their yearly transactions, update records, and prepare for the new fiscal year. This practice is especially significant for scheduled and non-scheduled banks in major cities across India. While this closure affects most states and union territories, there are exceptions—banks in Meghalaya, Chhattisgarh, Mizoram, West Bengal, and Himachal Pradesh will remain open on this day due to regional variations in the holiday schedule. These differences reflect the RBI’s approach to balancing national financial protocols with local traditions and observances.
On April 1, 2025, banks will be closed in cities like Agartala, Ahmedabad, Belapur, Bengaluru, Bhopal, Bhubaneswar, Chandigarh, Chennai, Dehradun, Gangtok, Guwahati, Andhra Pradesh, Telangana, Imphal, Itanagar, Jaipur, Jammu, Kanpur, Kochi, Kolkata, Kohima, Lucknow, Mumbai, Nagpur, New Delhi, Panaji, Patna, Ranchi, Srinagar, and Thiruvananthapuram. However, bank branches will remain open in cities like Shillong, Shimla, Raipur, and Aizawl.
Major banks like HDFC Bank, SBI, Axis Bank, Kotak Mahindra Bank, ICICI Bank, Bank of Baroda, Punjab National Bank, Canara Bank, Union Bank of India, IndusInd Bank, RBL Bank, Federal Bank, and others will observe the closing of accounts holiday on April 1 in the aforementioned cities. Customers planning to visit their local branches should take note of this closure to avoid inconveniences.
April 5, 2025, marks the first Saturday of the month, and according to RBI guidelines, banks are typically operational on such Saturdays. However, in the state of Telangana, banks will be closed on April 5 due to the celebration of Babu Jagjivan Ram's Birthday. This means that while most banks will operate normally in other regions, payment systems will not be functional in Telangana on that day.
Babu Jagjivan Ram (April 5, 1908 - July 6, 1986), popularly known as Babuji, was an influential Indian independence activist and politician who served as a minister with various portfolios for over 30 years, making him the longest-serving Union Cabinet minister in Indian history. He played a pivotal role as the Defence Minister of India during the Indo-Pak War of 1971, which led to the creation of Bangladesh. His contributions to the Green Revolution and the modernization of Indian agriculture during critical periods are also noteworthy.
On April 6, 2025, which falls on a Sunday, all banks will be closed nationwide. The month of April will also feature several additional bank holidays, including regional festivals and the standard second and fourth Saturdays. Notable holidays include:
- April 10: Mahavir Janmakalyanak/Mahavir Jayanti
- April 14: Dr. Babasaheb Ambedkar Jayanti/Vishu/Biju/Buisu Festival/Maha Vishuva Sankranti/Tamil New Year's Day/Bohag Bihu/Cheiraoba
- April 15: Bengali New Year's Day/Himachal Day/Bohag Bihu
- April 16: Bohag Bihu
- April 18: Good Friday
- April 21: Garia Puja
- April 29: Bhagvan Shri Parshuram Jayanti
- April 30: Basava Jayanti/Akshaya Tritiya
Despite the bank closures, digital banking services such as mobile apps, ATMs, and online platforms are expected to remain operational on April 1, 2025. This means that customers can still conduct transactions online, providing a lifeline for those needing to manage their finances during the holiday.
Customers are advised to plan their banking activities in advance, especially for tasks that require visits to physical bank branches. The closure on April 1 underscores the importance of fiscal discipline in India’s banking sector, a practice rooted in ensuring transparency and accuracy as the country transitions into a new financial year.
In summary, understanding the bank holiday schedule in April 2025 is essential for effective financial planning. With holidays observed for various reasons, including the closing of accounts and regional celebrations, customers should remain informed about which banks will be operational in their areas. For more details, refer to the RBI’s official holiday list or your bank’s notifications.
